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Legal structures as an incentive instrument to startups in Brazil

Grant number: 20/08799-1
Support Opportunities:Scholarships in Brazil - Scientific Initiation
Effective date (Start): February 01, 2021
Effective date (End): May 31, 2022
Field of knowledge:Applied Social Sciences - Law - Private Law
Principal Investigator:Gustavo Saad Diniz
Grantee:Marcella Macchi Jorge Marcelino
Host Institution: Faculdade de Direito de Ribeirão Preto (FDRP). Universidade de São Paulo (USP). Ribeirão Preto , SP, Brazil


Startups have emerged in a context of pursuit of innovation, technology and encouragement of creation and entrepreneurship, keeping pace with economic and global dynamism and influencing the development and growth of entrepreneurial culture around the world. However, incentives in relation to this form of enterprise only gained importance in Brazil around 1998, and although they have been highly developed in recent years, they still have legal gaps. There is a latent need to look for ways to foster and encourage innovation companies in the country, no longer accommodating them in conventional corporate and business structures and without the necessary adaptations. In this context, the creation of legal structures and ways to promote start-ups could facilitate the process of their creation, since this scarcity in the country impairs dynamism and scalability. It is of interest to this work, by means of theoretical and other studies, to analyze the different forms of legal structures to encourage innovation enterprises already existing in the country, their forms of application and their effectiveness, analyzing the main existing challenges, with the aim of verifying how government stimulus measures for innovation enterprises can strengthen start-ups. Therefore, the concept of this type of venture will be examined, as well as the current efficiency or not of the applicability of the legal structures for encouraging and fostering existing innovation firms. Thus, the final objective is to analyze how the Brazilian law has interfered in the development of these enterprises, seeking confirmation of the hypothesis that the regulation favorable to them is advantageous for a better and more effective development of start-ups and of the economy. Thus, the discipline of the subject had benefited both entrepreneurs and the national economy in a context of need for post-pandemic adaptation.

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